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Should You Forget Nvidia and Buy These 2 Artificial Intelligence (AI) Stocks Instead?

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Both AMD and Broadcom have an opportunity to outperform in the coming years.

Nvidia is the king of artificial intelligence (AI) infrastructure, and for good reason. Its graphics processing units (GPUs) have become the main chips for training large language models (LLMs), and its CUDA software platform and NVLink interconnect system, which helps its GPUs act like a single chip, have helped create a wide moat.

Nvidia has grown to become the largest company in the world, with a market cap of over $4 trillion. In Q2, it held a whopping 94% market share for GPUs and saw its data center revenue soar 56% to $41.1 billion. That’s impressive, but those large numbers may be why there could be some better opportunities in the space.

Two stocks to take a closer look at are Advanced Micro Devices (AMD 1.91%) and Broadcom (AVGO 0.19%). Both are smaller players in AI chips, and as the market shifts from training toward inference, they’re both well positioned. The reality is that while large cloud computing and other hyperscalers (companies with large data centers) love Nvidia’s GPUs they would prefer more alternatives to help reduce costs and diversify their supply chains.

1. AMD

AMD is a distant second to Nvidia in the GPU market, but the shift to inference should help it. Training is Nvidia’s stronghold, and where its CUDA moat is strongest. However, inference is where demand is accelerating, and AMD has already started to win customers.

AMD management has said one of the largest AI model operators in the world is using its GPUs for a sizable portion of daily inference workloads and that seven of the 10 largest AI model companies use its GPUs. That’s important because inference isn’t a one-time event like training. Every time someone asks a model a question or gets a recommendation, GPUs are providing the power for these models to get the answer. That’s why cost efficiency matters more than raw peak performance.

That’s exactly where AMD has a shot to take some market share. Inference doesn’t need the same libraries and tools as training, and AMD’s ROCm software platform is more than capable of handling inference workloads. And once performance is comparable, price becomes more of a deciding factor.

AMD doesn’t need to take a big bite out of Nvidia’s share to move the needle. Nvidia just posted $41.1 billion in data center revenue last quarter, while AMD came in at $3.2 billion. Even small wins can have an outsize impact when you start from a base that is a fraction of the size of the market leader.

On top of that, AMD helped launch the UALink Consortium, which includes Broadcom and Intel, to create an open interconnect standard that competes with Nvidia’s proprietary NVLink. If successful, that would break down one of Nvidia’s big advantages and allow customers to build data center clusters with chips from multiple vendors. That’s a long-term effort, but it could help improve the playing field.

With inference expected to become larger than training over time, AMD doesn’t need to beat Nvidia to deliver strong returns; it just needs a little bigger share.

Image source: Getty Images.

2. Broadcom

Broadcom is attacking the AI opportunity from another angle, but the upside may be even more compelling. Instead of designing off-the-shelf GPUs, Broadcom is helping customers make their own customer AI chips.

Broadcom is a leader in helping design application-specific integrated circuits, or ASICs, and it has taken that expertise and applied it to making custom AI chips. Its first customer was Alphabet, which it helped design its highly successful Tensor Processing Units (TPUs) that now help power Google Cloud. This success led to other design wins, including with Meta Platforms and TikTok owner ByteDance. Combined, Broadcom has said these three customers represent a $60 billion to $90 billion serviceable addressable market by its fiscal 2027 (ending October 2027).

However, the news got even better when the company revealed that a fourth customer, widely believed to be OpenAI, placed a $10 billion order for next year. Designing ASICs is typically not a quick process. Alphabet’s TPUs took about 18 months from start to finish, which at the time was considered quick. But this newest deal shows it can keep this fast pace. This also bodes well with future deals, as late last year it was revealed that Apple will be a fifth customer.

Custom chips have clear advantages for inference. They’re designed for specific workloads, so they deliver better power efficiency and lower costs than off-the-shelf GPUs. As inference demand grows larger than training, Broadcom’s role as the go-to design partner becomes more valuable.

Now, custom chips have large upfront costs to design and aren’t for everyone, but this is a huge potential opportunity for Broadcom moving forward.

The bottom line

Nvidia is still the dominant player in AI infrastructure, and I don’t see that changing anytime soon. However, both AMD and Broadcom have huge opportunities in front of them and are starting at much smaller bases. That could help them outperform in the coming years.

Geoffrey Seiler has positions in Alphabet. The Motley Fool has positions in and recommends Advanced Micro Devices, Alphabet, Apple, Meta Platforms, and Nvidia. The Motley Fool recommends Broadcom. The Motley Fool has a disclosure policy.



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AI Research

SBU Researchers Use AI to Advance Alzheimer’s Detection

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Shan Lin

Alzheimer’s disease is one of the most urgent public health challenges for aging Americans. Nearly seven million Americans over the age of 65 are currently living with the disease, and that number is projected to nearly double by 2060, according to the Alzheimer’s Association.

Early diagnosis and continuous monitoring are crucial to improving care and extending independence, but there isn’t enough high-quality, Alzheimer’s-specific data to train artificial intelligence systems that could help detect and track the disease.

Shan Lin, associate professor of Electrical and Computer Engineering at Stony Brook University, along with PhD candidate Heming Fu, are working with Guoliang Xing from The Chinese University of Hong Kong to create a network of data based on Alzheimer’s patients. Together they developed SHADE-AD (Synthesizing Human Activity Datasets Embedded with AD features), a generative AI framework designed to create synthetic, realistic data that reflects the motor behaviors of Alzheimer’s patients.

Shade-AD
This figure provides the design overview of Shade-AD. The Training Process involves three stages: Stage 1 learns general human actions; Stage 2 embeds AD-specific knowledge; and Stage 3 fine-tunes the model based on patient-specific motion metrics.

Movements like stooped posture, reliance on armrests when standing from sitting, or slowed gait may appear subtle, but can be early indicators of the disease. By identifying and replicating these patterns, SHADE-AD provides researchers and physicians with the data required to improve monitoring and diagnosis.

Unlike existing generative models, which often rely on and output generic datasets drawn from healthy individuals, SHADE-AD was trained to embed Alzheimer’s-specific traits. The system generates three-dimensional “skeleton videos,” simplified figures that preserve details of joint motion. These 3D skeleton datasets were validated against real-world patient data, with the model proving capable of reproducing the subtle changes in speed, angle, and range of motion that distinguish Alzheimer’s behaviors from those of healthy older adults. 

The results and findings, published and presented at the 23rd ACM Conference on Embedded Networked Sensor Systems (SenSys 2025), have been significant. Activity recognition systems trained with SHADE-AD’s data achieved higher accuracy across all major tasks compared with systems trained on traditional data augmentation or general open datasets. In particular, SHADE-AD excelled at recognizing actions like walking and standing up, which often reveal the earliest signs of decline for Alzheimer’s patients.

Shade-AD skeleton
This figure illustrates the comparison of “standing up from a chair” motion between a healthy elder and an AD patient.

Lin believes this work could have a significant impact on the daily lives of older adults and their families. Technologies built on SHADE-AD could one day allow doctors to detect Alzheimer’s sooner, track disease progression more accurately, and intervene earlier with treatments and support. “If we can provide tools that spot these changes before they become severe, patients will have more options, and families will have more time to plan,” he said. 

With September recognized nationally as Healthy Aging Month, Lin sees this research as part of an effort to use technology to support older adults in living longer, healthier, and more independent lives. “Healthy aging isn’t only about treating illness, but also about creating systems that allow people to thrive as they grow older,” he said. “AI can be a powerful ally in that mission.”

— Beth Squire



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Penn State Altoona professor to launch ‘Metabytes: AI + Humanities Lunch Lab’

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ALTOONA, Pa. — John Eicher, associate professor of history at Penn State Altoona, will launch the “Metabytes: AI + Humanities Lunch Lab” series on Tuesday, Oct. 7, from noon to 1 p.m. in room 102D of the Smith Building.

As artificial intelligence (AI) systems continue to advance, students need the tools to engage them not only technically, but also intelligently, ethically and creatively. The AI + Humanities Lab will serve as a cross-disciplinary space where humanistic inquiry meets cutting-edge technology, helping students ask the deeper questions that surround this emerging force. By blending hands-on experimentation with philosophical and ethical reflection, the lab aims to give students a critical edge: The ability to see AI not just as a tool, but as a cultural and intellectual phenomenon that requires serious and sober engagement.

Each session will begin with a text, image or prompt shared with an AI model. Participants will then interpret and discuss the responses as philosophical or creative expressions. These activities will ask students to grapple with questions of authority, authenticity, consciousness, choice, empathy, interpretation and what it even means to “understand.”

The lab will run each Tuesday from Oct. 7 through Nov. 18, with the exception of Oct. 14. Sessions are drop-in, open to all and participants may bring their lunch.



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Research: Reviewer Split on Generative AI in Peer Review

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A new global reviewer survey from IOP Publishing (IOPP) reveals a growing divide in attitudes among reviewers in the physical sciences regarding the use of generative AI in peer review. The study follows a similar survey conducted last year showing that while some researchers are beginning to embrace AI tools, others remain concerned about the potential negative impact, particularly when AI is used to assess their own work.

Currently, IOPP does not allow the use of AI in peer review as generative models cannot meet the ethical, legal, and scholarly standards required. However, there is growing recognition of AI’s potential to support, rather than replace, the peer review process.

Key Findings:

  • 41% of respondents now believe generative AI will have a positive impact on peer review (up 12% from 2024), while 37% see it as negative (up 2%). Only 22% are neutral or unsure—down from 36% last year—indicating growing polarisation in views.
  • 32% of researchers have already used AI tools to support them with their reviews.
  • 57% would be unhappy if a reviewer used generative AI to write a peer review report on a manuscript they had co-authored and 42% would be unhappy if AI were used to augment a peer review report.
  • 42% believe they could accurately detect an AI-written peer review report on a manuscript they had co-authored.

Women tend to feel less positive about the potential of AI compared with men, suggesting a gendered difference in the usefulness of AI in peer review. Meanwhile, more junior researchers appear more optimistic about the benefits of AI, compared to their more senior colleagues who express greater scepticism.

When it comes to reviewer behaviour and expectations, 32% of respondents reported using AI tools to support them during the peer review process in some form. Notably, over half (53%) of those using AI said they apply it in more than one way. The most common use (21%) was for editing grammar and improving the flow of text and 13% said they use AI tools to summarise or digest articles under review, raising serious concerns around confidentiality and data privacy. A small minority (2%) admitted to uploading entire manuscripts into AI chatbots asking it to generate a review on their behalf.

Interestingly, 42% of researchers believe they could accurately detect an AI-written peer review report on a manuscript they had co-authored.

“These findings highlight the need for clearer community standards and transparency around the use of generative AI in scholarly publishing. As the technology continues to evolve, so too must the frameworks that support ethical and trustworthy peer review”, said Laura Feetham-Walker, Reviewer Engagement Manager at IOP Publishing and lead author of the study.

“One potential solution is to develop AI tools that are integrated directly into peer review systems, offering support to reviewers and editors without compromising security or research integrity. These tools should be designed to support, rather than replace, human judgment. If implemented effectively, such tools would not only address ethical concerns but also mitigate risks around confidentiality and data privacy; particularly the issue of reviewers uploading manuscripts to third-party generative AI platforms,” adds Feetham-Walker.

/Public Release. This material from the originating organization/author(s) might be of the point-in-time nature, and edited for clarity, style and length. Mirage.News does not take institutional positions or sides, and all views, positions, and conclusions expressed herein are solely those of the author(s).View in full here.



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